Cadillac Sinkhole Crisis Disrupts Businesses and Traffic

Recurring sinkholes in a Cadillac shopping plaza's parking lot have prompted $2.1 million in repair grants, but construction remains on hold.

Apr. 9, 2026 at 10:36pm

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A vast, atmospheric landscape painting in muted tones of grey, blue, and green, with a deep, receding perspective that minimizes the physical damage of the sinkhole crisis, conveying a sense of the overwhelming, sublime power of the natural world.A serene yet foreboding landscape painting captures the scale and power of the natural forces behind Cadillac's sinkhole crisis, dwarfing the affected businesses and infrastructure.Cadillac Today

A new sinkhole has emerged in the parking lot of Wexford Jewelers in Cadillac, Michigan, causing the closure of a main entrance and disrupting access for multiple businesses. The recurring issue, caused by failing culverts beneath the pavement, has prompted the City of Cadillac to secure $2.1 million in grants for repairs, though construction remains on hold awaiting state authorization.

Why it matters

The sinkhole crisis has created significant challenges for businesses in the affected shopping plaza, with the closure of a main entrance impacting access and deliveries. The complex ownership situation of the land has also complicated the repair process, highlighting the need for coordinated action between local and state authorities.

The details

The latest sinkhole adds to several others that have appeared in the parking lot over the last three years, renewing concerns about the structural integrity of the area. The city has taken steps to cordon off affected zones, while emphasizing that the rest of the parking lot and adjacent buildings remain safe for public use. The closure of the main entrance off River Street affects access to Wexford Jewelers, Sherwin Williams, AT&T, and Guadalupe's Mexican Market, with the latter reporting a decline in foot traffic due to some customers mistakenly believing they are closed.

  • The latest sinkhole emerged in the parking lot of Wexford Jewelers in Cadillac.
  • Over the last three years, several sinkholes have appeared in the parking lot.
  • The City of Cadillac has secured $2.1 million in grants to repair the culverts and sinkholes.
  • Construction activities are expected to occur later this spring or summer, pending final approval from the state.

The players

Keith Terwilliger

The owner of Wexford Jewelers, who described the extent of the problem and the challenges it poses for businesses in the plaza.

Jesse Rodriquez

A manager at Guadalupe's Mexican Market, who said the closure has impacted their business due to a decline in foot traffic.

Marcus Peccia

The Cadillac City Manager, who reassured the public that the blocked-off areas are safe and that construction activities are expected to occur this year.

City of Cadillac

The local government that has secured $2.1 million in grants to repair the culverts and sinkholes, and is awaiting final approval from the state to begin construction.

State of Michigan

The state authority that is currently holding up the construction process, despite the city's efforts to prioritize the issue.

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What they’re saying

“Those culverts have failed. We have structural defects, sinkholes in the parking lot that have compromised our really our entire parking area.”

— Keith Terwilliger, Owner, Wexford Jewelers

“It's quite the problem for Williams and AT&T, because a lot of people access their businesses from that drive, mostly Williams, because they need that drive to take a semi, which is going to be a 57-foot trailer and they need to go back behind Williams, pull out on a Mitchell Street and back into the ramp.”

— Keith Terwilliger, Owner, Wexford Jewelers

“This area is still safe. It's safe for pedestrians and it is safe for vehicles, even though you see fencing that has been staged, that fencing is doing its job and that is to keep people away from where the sinkholes are.”

— Marcus Peccia, Cadillac City Manager

“We are just in a sort of a, a hold process as we wait to get the green light from the state to be able to move forward with the actual construction activities. We do believe that those construction activities will occur in this calendar year. In fact, perhaps even, later this spring or summer, we'll see some activities happen.”

— Marcus Peccia, Cadillac City Manager

“We're hoping that that will get everyone together and put this as a high priority on their radar. It seems like we're a small town. It seems like a small little plaza, but there's a lot of traffic and there's a lot of water that moves through the clam River. So it's very, very important that this is taken seriously and that it's on people's radar and that this process to fix this gets done finally and it gets done with an expedited fashion.”

— Keith Terwilliger, Owner, Wexford Jewelers

What’s next

Lawmakers have been invited to view the sinkholes next Friday during the Governor's Breakfast to help prioritize the repair process. The city expects construction activities to address the sinkholes and failing culverts to occur this calendar year, potentially later this spring or summer.

The takeaway

The sinkhole crisis in Cadillac highlights the importance of proactive infrastructure maintenance and the need for coordinated action between local and state authorities to address complex issues that impact businesses and the community. The city's efforts to secure funding and engage state officials demonstrate their commitment to finding a timely solution, but the ongoing delays underscore the challenges of navigating bureaucratic processes.